GBPUSD SELLERS RETAIN CONTROL BELOW 1.3500
The British pound remains under selling pressure against the U.S dollar, with the pair now unable to find buying interest above the key 1.3500 level. Overall U.S dollar strength has been the determining factor behind the recent sell-off in the GBPUSD pair on Thursday. Dip buying is starting to wane, with the pair needing a strong move above the 1.3500 level to negate intraday selling pressures. Traders now look to look to key monthly inflation data from the United States economy, in the form of the December Producer Price Index.
GBPUSD sellers retain control of the pair while price-action trades below the 1.3500 level, further losses towards 1.3460 and 1.3430 now seem likely.
Should price-action on the GBPUSD pair start to trade above the 1.3500 level, buyers may try to push towards the 1.3550 and 1.3585 resistance levels.